For today's pick, we're examining Buffalo Wild Wings (BWLD).  This stock has been downgraded by analysts and has declined in price over the past month.  Let's see if there's any value to buying BWLD right now.

From the fundamentals, we see a decent but not stellar price ratio, with 19.90 PE and 1.26 PS averaging to 10.58.  The ROE, ROA and ROI are weak, as is the profit margin.  This stock also pays no dividend at all.  Additionally, the payroll reports are troubling, with 6125 employees on record at Christmas of 2005 and only 1113 employees as of this past November 1st.  Layoffs of that magnitude over 2 years seem dubious.

The potential positives on the fundamentals sheet are the low market cap of $405.26M, indicating small-cap growth potential, and the current price close to the 52-week low with slightly more than 100% swing growth potential.  Qualitatively, this company has been in the news recently for purchasing eight restaurants from Avado Brands, all in big metropolitan areas.  On the other hand, the company they are buying from declared bankruptcy in Delaware.

I think Buffalo Wild Wings has good points, but the stock overall is shaky.  I don't like to speculate on a company's failure, but things look bad.  I've seen a stock I own go bankrupt; I'm not sure whether this will happen to Buffalo or not, but they only have $405.26 million in market capital.  They went down on Friday when so many stocks were going up...their best hope for success right now seems to be the acquisition of these new restaurants.  If that can buoy their business, BWLD might be okay.  I just don't feel like it's done going down yet, in any case.